A Drug-Free Workplace Helps Your Company And Your Workers Comp

Having a drug-free workplace is an important step in reducing workers comp costs. Employees using drugs or under the influence of alcohol are more likely to have accidents and make mistakes. They also have higher rates of absenteeism and are less productive. In addition, some states and insurers offer a workers comp premium reduction for employers that have a drug-free workplace program.

The Department of Labor Data

The Department of Labor (DOL) has significant data on drugs and alcohol in the workplace. Some of the findings are that

75% of the nation’s current illegal drug users are employed

3.1% say they have used illegal drugs before or during work hours

79% of the nation’s heavy alcohol users are employed

7.1% say they have consumed alcohol during the workday

It is important for employers to encourage workers with substance abuse issues to seek help. This encourages employees not to hide their problem, which can make the risk of accidents more likely. Also, employees who have a status as being a drug addict or alcoholic may be protected under disability discrimination laws.

The first step in establishing a drug-free workplace is to have a written policy that is distributed to all employees at all levels. The policy should:

Tell employees that the unlawful manufacture, distribution, dispensing, possession or use of a controlled substance is prohibited in the workplace

Specifies the actions that will be taken against employees for violating that prohibition

Tells employees that they must notify you in writing if convicted for violating a criminal drug statute occurring in the workplace and must do so no more than five calendar days after the conviction

Drug-Free Awareness Program

Employers should establish an ongoing drug-free awareness program to inform employees about

The dangers of drug abuse in the workplace

The policy of maintaining a drug-free workplace

Any available drug counseling, rehabilitation, and employee assistance programs

The penalties for drug abuse violations occurring in the workplace

The Drug-Free Workplace Act of 1988

The Drug-Free Workplace Act of 1988 applies to federal contractors. Federal contractors are businesses that have a contract with or subcontract with a business or government agency that has a contract with the federal government. Businesses covered under the Act must make a good faith effort, on a continuing basis, to maintain a drug-free workplace. That means that they must publish a drug-free workplace statement and establish a drug-free awareness program for employees. In addition, they must take actions concerning employees who are convicted of violating drug statutes.

The Drug-Free Workplace Advisor

The Department of Labor has a variety of resources for employers, workers, associations and unions to assist in maintaining drug-free workplaces. The Drug-Free Workplace Advisor helps employers build tailored drug-free workplace policies and provides guidance on developing comprehensive drug-free workplace programs. It is available at http://www.dol.gov/elaws/drugfree.htm.

Drug Testing

Some companies perform drug testing as part of their effort to reduce workers’ comp costs. Companies use pre-employment (post-offer) drug and alcohol testing as well as post-accident and random drug testing. In some states, if a private employer chooses to conduct workplace drug and alcohol testing, the employer must follow state rules. In other states there are incentive programs designed to encourage workplace drug and alcohol testing programs. Employers should consult an attorney for other rules that might apply. We have a FREE set of drug laws covering individual states available at http://reduceyourworkerscomp.com/drug-testing-state-laws.php.

Author Rebecca Shafer, JD, President of Amaxx Risk Solutions, Inc. is a national expert in the field of workers compensation. She is a writer, speaker, and publisher. Her expertise is working with employers to reduce workers compensation costs, and her clients include airlines, healthcare, printing/publishing, pharmaceuticals, retail, hospitality, and manufacturing. She is the author of the #1 selling book on cost containment, Workers Compensation Management Program: Reduce Costs 20% to 50%. Contact:RShafer@ReduceYourWorkersComp.com.

Editor Michael B. Stack, CPA, Director of Operations, Amaxx Risk Solutions, Inc. is an expert in employer communication systems and part of the Amaxx team helping companies reduce their workers compensation costs by 20% to 50%. He is a writer, speaker, and website publisher. www.reduceyourworkerscomp.com. Contact: mstack@reduceyourworkerscomp.com.

DISCLAMER: Do not use this information without independent verification. All state laws are different and change frequently. We do the best we can to provide up-to-date information but do not guarantee it is always perfect. Consult with your corporate legal counsel before implementing any cost-containment program.

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